Impact Of Social Networking Sites On Brand Promotion Marketing Essay

Impact Of kind Net releaseing Sites On Brand Promotion Marketing EssayIf considering the example of Skoda, it gives the au indeedtic results for much(prenominal) instance. Skoda has developd the familiarity of roughly 2000 people by means of affectionate media. This community was started when a female node has institutionalizeed its comment close to the after sales services of Skoda and a person has picked this comment and posted it on fond ne devilrking site (Muncaster, 2007). It is non all the corpo enumerate biggies who let utilise soci suitable net bleeding sites as a modal(a) to promote their station that in kindred manner a phenomena of retailing the proposeers label to increase the reproach sentience among the tar yield customers. Looking at the importance of genial interlockinging, this jutk designs to analyzing the tinct of favorable electronic networking sites on set advance. This chapter provides the truncated introduction rough the exp lore study, including the starts and purposes of the explore, signifi gutterce of the irresolution and rationale commode conducting this seek study.Aims and Objectives of the look intoThe aim of this look is to analyze the doctor of kind networking sites on stigma promotion. In order to fulfill the aim of the inquiry, tec has laid down following look for objectives which has been light upond in this question as a part of inquiry aim.To s locoweed the importance of hearty networking clearsites in specking systemTo contain the advant season of using affectionate media in market and imperfectioningTo as true the current and future scope viability of companionable mediaTo identify the strategies of companies using social media as a medium for promoting their trademarkIn order to achieve the above research objectives, the research has addressed the following research questions in this study.RQ1 What is the importance of social networking sites in steeling a nd merchandising?RQ2 What atomic figure 18 the advantages for a marketer in using social media for its marketing and branding strategy?RQ3 What is the current and future scope viability of social media?RQ4 What ar the strategies utilize by companies for using social media in promoting their brands among the target customers?Significance of the enquiryThis research study is contributing significantly in the studies of marketing and brand charge where the investigator has provided near mark particulars ab give away the current usage of social networking sites in brand promotion and marketing. The research findings exit help the marketers to derive the advantage of using social media as a medium for promoting their brands and they can integrate these findings in preparing their brand strategy. In addition to this, the research work provided the base for future academic research workers to conduct the research in the social networking feign in relation to the marketing a nd branding management.Rationale behind the questionReason for conducting this research is to get the deeper insight about how the companies atomic number 18 using social networking websites for promoting their brand and in what regenerate smarts they be making it effective among the target customers. In this way detective would be able to get greater learning in the field of marketing and brand management and can integrate these findings into its professional cargoner.Chapter Scheme of the researchIt is inseparable to divide the arrest research into sub sections or chapters to get the consecutive understanding of every step taken by the research for completing the research. in that locationfore researcher has segregated the complete research into atomic number 23r chapters. first chapter of the research provide the brief introduction about the research. second gearond chapter provided the literature of the research. Third chapter includes the research methodology. Fourth chapter provided the discussion, analysis and findings of the research. Last and fifth chapter includes the determination drawn by the research from the key findings and provided the recomm shoemakers lastation to marketers.Summary there is a latest trend of using social networking sites for brand promotion however the calling organizationes are realizing slowly of using social networking sites for brand promotion. The aim of this research is to analyze the impact of social networking sites on brand promotion. fond network affect the purchase decision making process of consumers which adopt the difference in the branding and marketing strategies. However social networking websites are recyclable for the marketers to increase the brand awareness and crossing awareness. Reason for conducting this research is to get the deeper insight about how the companies are using social networking websites for promoting their brand. This chapter provided the brief introduction of the researcher to the reader.Chapter 2 Literature Re conceive2.1 Introduction neighborly networking sites such as Facebook (400 one million million users worldwide) and Orkut (100 million), or the micro-blogging site chirrup (which go through 10 billion tweets recently) may offer engaging distractions to the comely user. unless the number add up to a dizzying truth for brands social networking sites (SNS) and sites the homogeneouss of Twitter are prodigiously fertile spaces to harvest ad business. Adgully speaks to Indias lead-in brand nurturers and digital agencies to understand how they are leveraging the networking revolution. Social Networking presently became a way for brand Marketing and promotion on social sphere, whereby, the enterprises started using these online communities or websites for developing contacts and driving traffic to their respective websites. Today, these social networking websites form the main tool of social media marketing. The most commonly employ websites that require become drastically common over last friction match of old age are Twitter and Facebook. Following these two are some other sites such as LinkedIn, My Space, Digg and StumbleUpon (Adler Kwon, 2002). Facebook is a Social Networking Site which helps friends and colleagues to circumstances dialogues with individually other through Wall Posts, Messages and Comments. Today, Facebook has more than 350 million members and subdued counting. This site experiences more than two million clicks per day. Statistics state that users spend an average of 20 minutes per day in Facebook. The advanced functionalities of Facebook allow the users a longer shelf life. A user can view your files which are more than five years old. With such wonderful features, Facebook soon became unitary of the lethal tools of SMM and SMO. Businesses, especially small scale business houses started using the medium of Facebook to promote their brands and services. Setting up a business page and initiating and rule interactions with the visitors are some of the strategies that business houses adhere to, in Facebook (Alba, 2003).2.2 Popularity of Social Networking Sites in Developing CountriesThe online penetration is just 3-4 per cent, and less than 1 per cent of our summarise population has a Facebook account. And the percentage of people using Twitter is horizontal smaller. Mehra verbalise that despite the percentages, developing countries alike India were already the 5th largest consumer of Twitter in the world, owing largely to Bollywoods enthusiasm for it. And we are in the pass on 10 list of consumers of Facebook. Rahul Mehta, the business head of Chings unfathomable, verbalise, There are near 5 crore Indians and 1 crore NRIs online. Facebook alone has 1.2 crore Indians and 40 lakh NRIs. Mehta said the RoI on social media was substantially higher than what was offered by traditional media (Albrecht Adelman, 2007). These numbers are comparable to most nat ional intelligence servicepapers, Mehta said. Facebook is best place to reach Sec A+, A and B+. With internet penetration deepening, the numbers will rise in the future(a) three to four years, he said. Chings Secret has 98,826 (and counting) fans on Facebook.Khushboo Maheshwari, the head (digital) of OMD, said, Today, 5% of Indian population has an online comportment and it is growth at a rate of 35% CAGR. In other words, 50 million users have a presence on social media. And the numbers were growing, Maheshwari said. With the government planning to spend Rs18,000 crore over the next three years to lay a 5 lakh km optic lineament cable network to reach every gram panchayat, the growth rate is firing to touch 100% CAGR, Maheshwari said. Mobile, web, and broadband will be detailed to the growth in the coming years, Maheshwari said.Mihir Ferrao, who looks into Social Media Optimization and ORM at Starcom IP feels that Internet in India ask to grow by at least(prenominal) 20 to 25% year on year, to shake off the unalterable comparisons with TV and Print (Alkire, Collum, Kaswan, Love, 2008). He said, The only reason why we do non get a fare share of advertizement budgets is because, next to the reach penetration of TV or Print, we are very small. except if we look at the concentration of brand TGs on TV Internet, then surely the Internet will have higher traction. Sagar Dhoke, the founder of sport Element said that the e-revolution had helped to bridge the gap between the product and the end consumer, be it for a movie or an FMCG product. As for the group existence targeted online by marketers, Ritesh Patel, the brand manager of CEAT, said, Social media has indeed proved to be a very useful medium for a brand like CEAT. He said that CEAT aspired to be a youthful brand and it finds complete match of TG in this medium (Arabie, 2004).2.3 The ApproachSandeep Singh, the business head of Quasar, said that promotional activities designed for online platfo rms could be a campaign lead in which the target audience is engaged for a specific purpose and for a short duration. Or, brands could distinguish a more strategic and long-term initiative. In a campaign lead, the idea is to use social media platforms to create a buzz and receive feedback from the community represented by the target audience, Singh said. strategical initiatives involve the management of social presence from brands online-reputation standpoint, and the use of social platforms as a medium of continued dialogue with the prospects and customers. Singh said experience suggested that the one- size-fits-all woo did not work. Every product and campaign needs a several(predicate) show up and activation strategy, he said (Bainbridge, Brent, Carley, Heise, Macy, Markovsky, Skvoretz, 1994).Maheshwari of OMD described one of the agencys classifiable media activities. Motilal Oswal Financial Services Limited has been quite active on the social media, Maheshwari said. We ha ve uploaded wealthiness Creation Study (WCS) Videos on You Tube and overly created a Linked In event page for the WCS awards ceremony. Besides, we also have a scribed page where we have uploaded different annual WC Studies. The creation of Wikipedia pages on the Motilal Oswal Group, on Motilal Oswal and Raamdeo Agrawal had been completed, Maheshwari said. As a result of these activities, seven out of 10 results on Google are owned and controlled by Brand Motilal Oswal for the search Wealth Creation Study, Maheshwari said (Baker Hubert, 2001).Zapak has carried out several similar campaigns Axe, Ponds, and Mahindra campaigns which use a mix of useable options are among the most successful Zapak works. Mehra listed the focus areas lover pages and groups, gaming and other fun applications on platforms like Orkut and Facebook, an active superintend on Twitter. Mehra said it was essential to link the APIs (application programming interface) like OpenID and Facebook Connect to ones s ite to promote easy communication and conversations (Barabasi, 2002). Chings Secret advertises regularly on Facebook and YouTube, the brands Mehta said. But a solidification of traffic has been provided virally because of the content, quizzes, contests on Facebook. He said that in the end, social media was a long-term strategic investment. It is not brand building but genuine relationship creation and maintenance, he said. And like any relationship, it takes time to build.Describing the two aspects of promotion social applications and paying advertising -they use twain options equally well. For Emotional Attyachar, social advertising was placed on Facebook and other sites. And we also released an application on Facebook, Mistry said. Applications be intimate on engagement to high levels, users get to communicate with the brand, and they understand the value of the shows. On the other hand, advertising draws people who are unexposed to the brand. So the two options serve diffe rent purposes and we use as much of two as they can (Barnlund Harland, 2005). Patel of CEAT said that any one people-engagement maneuver would not work in isolation. If they create a fantastic social application and do not promote it, it will die a natural goal owing to the lack of critical mass required to give it a viral effect. Similarly, only paid advertising will fail to generate brand interaction with consumers which is the essence of social media. Such a tactic would evoke the feeling of a one-night stand and customer would probably not engage with the brand in question in the future. Starcom IPs Ferrao, also said that lots of their clients are slowly waking up to the fact that social media is a growing phenomena in India. some(prenominal) of their clients whom they have brought onto the social space are Himalaya Herbal Tea and Foster, while they are enhancing the social presence of brands like Tata Teleservices and Pantaloons. The results they have got, in terms of fans on Facebook and followers on Twitter etc. have prone the client reasons to be excited. And has initiated thoughts of how do they leverage these groups further (Bernard Killworth, 2003).2.4 Pros and ConsEvery platform has certain advantages and disadvantages, so its a question any longer of them needing to be on it or not. The advantages are varied right from being able to monetize certain things to being able to put your content out there to get feedback from users. In the past, people could not consort to a brand on a one-on-one basis, but social media allowed that to happen. Most brands feel that qualifying to SNS will put their brands up for public scrutiny, which is considered a disadvantage. But it is considering that to be an advantage because it gives them a good reality check to improve your product or service. But on this channel, Singh warned, one wrong step could sweet sand verbena into something highly detrimental to ones brand, in matter of minutes. So they shou ld learn to do it well than not doing it at all, as you cant run outside from such platforms if their consumers are flocking them (Bonacich, 2002). They will have to embrace them today or tomorrow. SNS can definitely contribute to making or breaking the brand image. Brands should be very cautious in venturing into SNS. While developing games for the brands, Dhoke suggests pestilent branding techniques to his clients. Constant hammering of the product is a complete turn-off to the sham and user, he said. Same applies to social applications and games. The app should highlight the main features of the app in a very exciting way rather than in the brochure style.Maheshwari endorsed Dhokes effrontery about treading carefully. Yes, a single bad comment or record can severely damage the reputation that a brand like MOFSL has taken great pains to establish over the years, Maheshwari said. Also since SNS connect users from different parts of the world, it takes little to no time for bad news to spread.Patel strongly believes that a consumers negative feedback could be use to create customer delight. Today, more and more brands are engaging directly with consumers through non-homogeneous discussion forums, networking sites and forums to understand their expectations (Borgatti Everett, 1999)Ferrao of Starcom IP sees the clear advantage of social networking sites in the entire brand experience which one can bring to the consumer. He said, With Facebook and Twitter, you can communicate so many brand properties to those people who want to listen he believes that by doing so, you enjoy the effort is not going to waste and that your initiatives could actually lead to sales (Burt, 2008).2.5 The FuturePatel also highlighted the fact that only a select age group was active in social media. While Youngistan is spending more time online, the older age group is not very active yet. Also, online options are more popular in metro and tier-II cities. Internet penetration is sti ll an issue in rural India. But Dhoke sees things differently. Things will change in the next five to six years. When 3G is operational, the number of internet users will grow by about 25-35%. It is estimated that by 2013, India will have the third largest Internet user base. Singh goes a step further and says that as in the West, the audience is instantaneously online. When you pertain to the audience, these are the guys with high disposable incomes and spending power. These guys are online for sure. And most brands are eying their wallets. If you talk about numbers, we still have some way to go to before the medium reaches the masses. The Indian audience was enjoying the internet and its flings. Gaming is an offering that has now become a passion among the youth (Carley Krackhardt, 1996). The online gaming industriousness is growing and how Year-on-year, they are recording a rise in the number of gamers in the country. Zapak, which was started just three years ago, already had 7 million unique registered users, and continues to grow. Soon, there will be a day when the online Indian farmers on Farmville will outnumber all the real farmers of our country put together. Other than Twitter and Facebook, there are couples of other websites that have gained bulky popularity. LinkdIn is a professional social media website where a stream of professional gets the notice to review and interact with their counterparts. With more than 50 lacs people registered with this site, LinkedIn offers a self-coloured platform for establishing new business relationships. LinkdIn by facilitating more of a individualised communication between the business professionals can help the business as a whole. MySpace also have a massive impact in the social networking world. Once registered with MySpace, a user can not only inform the entire networking circle about their likes and dislikes but can also submit videos. A lot of personal stuffs can also be added to the site, and an acti ve mode of communication can be initiated. MySpace also helps in Social Media Marketing by enabling the businesses to create their own visibleness page and communities and develop interactive dialogues with targeted mass of people. This enables in building brand awareness and can be of immense help to small business houses. Social media and networking Sites have not only contributed to take inter-personal communication to a different level, but also have been a great marketing tool for the small businesses. Well planned approach to social media marketing via social networking sites can be of great help in promoting the business, create proper brand awareness and in the end, meet the ultimate business ends. A business house must have proper expertise and planning to approach in the network so as to collect the fruits of benefits to the very best (Cartwright Harary, 2007).2.6 Spreading brand awarenessWe all know word-of-mouth propagation is a great way of spreading your brand awar eness. This is what social network can do. As soon as brand becomes recognizable to a large number of customers, they start discussion about the product. Maximum people who are satisfied with the product they often post their comments through these social networking, which encourage other customer to buy the product. spacious companies create a blog in relation with the social network to give customer a wide area to discuss about product and give reviews. This way social network spread your brand awareness to millions of customer online (Cohen Prusak, 2001).2.7 Engage customer stakesA social media website is ideally suited for product discussions, demonstrations, and showcasing of expertise and flavor. Businesses can engage the interest of customers from a global market and build a powerful brand image. People will become fans of your website, product or business because they choose to Make them feel comfortable with this decision by posting quality information.Talking about onl ine business, social networking is a great opportunity to reserve your site busy by attracting potential customer with well real networking strategies. Organizations are already making use of new and creative way to utilize the massive popularity of various social media to promote their particular product. The additive benefit is the long-term impact on business revenue through brand management. Social media websites are just right for business marketers to spot potential customers (Eveland Bikson, 2007).But in order to get benefit from social networking, business owner should study to make do their social networking assets carefully. Most illustrious social networking sites like facebook, twitter and my space are the great for carrying your mental object to abroad. But new businesses must always remember that benefits from social networking whole include arduous work (Crane, 2009).2.8 SummaryA social network is a social structure made up of individuals or organizations cal led nodes, which are connected by one or more specific types of mutuality, such as friendship, common interest, financial exchange, dislike relationships of beliefs, knowledge or prestige. It was initially intended to make friendship and stay connected with colleagues, but now days every businessman would have known how main(a)(prenominal) social networking is for their business. Mainly online business has made social networking a priority as well. Premier Websites have made it possible for businesses to develop their contact lists, handle their relationships and created the ideas of viral marketing. It is because Shopping and social networking Web sites gather a lot of information about online users, and has become tremendously useful for companies to track and model consumer behavior. Businesses are looking to companies like Twitter, MySpace and Facebook to help companies to sell more products and services. Lets see how it makes an impact on your business in reality (Fararo Skv oretz, 2004).Chapter 3 Research methodologyIntroductionA research methodology enables the researcher to get the right direction in achieving the research aim and objectives. Therefore it is important for the researcher to understand the different research methods available and making the right selection of the assign research component to design the complete research methodology. This chapter provides the detailed explanation of the research methodology that has been used by the researcher for this particular research. The aim of this research is to analyze the impact of social networking website on brand promotion which requires a robust research methodology.Research methodological analysisBefore moving further, a research first needs to understand the difference between exploratory and explanatory research and make the appropriate selection between them. Exploratory research is useful where the research wants to bring to an end the research through in-depth and detailed discuss ion about the research objectives and findings of the research. On the other hand explanatory research is useful where the researcher close the research based on the key facts and using statistical measures without having in-depth discussions. hither the research wants to conduct the analyses to understand the impact of social networking websites on brand promotion therefore it requires statistical measures to conduct the impact analyses. Hence researcher has used explanatory research in this study.Research DesignThere are the various authors who have provided the approach to design the suitable research methodology. However the most relevant research methodology design is given by Saunders et al (2003) by developing the research onion. Each degree of this research onion provided the research component and selecting the research components gives the complete design of the research. Research has used the research onion developed by Saunders et al (2003) for designing the research m ethodology. Description of selecting the research components by using research onion is provided in the following section.Research ApproachResearch approach is chosen from the first stage of the research onion. A research can go for deductive, abductive or inductive research approach. In this research, researcher has used abductive research approach which enables the researcher to get the deeper understanding of research objective and need of correlating the literature with key findings of the research. Other research approaches such as inductive and deductive approach has been rejected by the research since both the approaches more cogitate towards the theoretical implications and less towards the practical implication of the research.Research PhilosophyResearch can select the research philosophy by removing the second layer of the research onion. There are the two research philosophies such as incontrovertibleness and interpretivism research philosophy. Interpretivism research philosophy is useful where the researcher interpret the study results using literature and less focused towards the practical implications of the research study. Since the research approach used by the researcher is abductive which requires the practical implication hence interpretivism research philosophy is irrelevant. In positivism research philosophy researcher only considers the practical implication along with the use of literature to be linked with research findings. Hence in this research, researcher has used the positivism research philosophy.Research StrategyResearch strategy can be chosen by removing third layer of the research onion. Research strategy enables the researcher to conduct the analysis and presenting the key findings of the research. In addition to this research decides on methods of data collection. A research can use look into questionnaire methods or face to face query method to collect the data. It is essential to capture the views of marketing managers about the impact of social networking websites in brand promotion. Hence the research has used survey questionnaire method for collecting the data. Once the data is collected, a researcher needs to understand the way of conducting the analysis and presenting the data. In this research, research has used question by question analysis and drawn the conclusion. Research has used both the secondary and primary data in this research and method for each of type of data is described below entropy Collection MethodologySecondary data is the data which is already existed in the published format. On the other hand primary data is the data which is not available and researcher collect the information using questionnaire method from the relevant respondents. In this study, researcher has collected both the secondary and primary data. The methodology comment of collecting each type of data is provided belowSecondary DataSecondary data in this research has been collected using various secondary sources such as academic journals which have been procured from the university library, books, news articles, web articles, company websites and general internet search. Secondary has been used to compile the literature in this research.Primary DataIn order to capture the view points of marketing managers towards the impact of social networking websites, the data has been collected using primary research. In primary research, researcher has prepared the quantitative questionnaire and administered the questionnaire using email. Others elaborate of primary research is provided below.Target RespondentsTarget respondents were marketing managers who must have knowledge about the social networking concepts and websites and responsible for preparing branding strategy for their companies. audition SizeA total of 200 questionnaires were sent to the target respondents out of which 59 responses were received by the researcher. Therefore the total sample size of this study is 59.Sampling Meth odologyConvenient sampling methodology has been used by the researcher for designing the samples in this study. In this research, the researcher already known to the screening and qualification criteria of the target respondents therefore the convenient sampling methodology is useful for this research study.Data AnalysisA researcher has used excel tool for analyzing the data. Each questionnaire responses are filled in Excel and developed a final data file. Researcher has used some basic statistical measures to analyze the data and key findings of the research has been presented using charts and graphs which have been prepared using Excel.Ethical Consideration Research LimitationsThere are certain ethical issues that have been taken into friendship by the researcher. Researcher has followed the market research guidelines to meet the ethical challenges in this research such as disclosing the respondents names contact information as per the respondents consent, acknowledging the in formation sources, use of authenticated data sources and websites and meeting the university guidelines to avoid plagiarism. Some limitations faced by the researcher are access to the company information, reportage of sample size and reach out to the target respondents.